COUNCILLORS have welcomed a declaration calling for responsible tax practice across Worcester City Council and from its suppliers.
A Green Party proposal for Worcester City Council to sign the Fair Tax Declaration has now been formally adopted by Guildhall chiefs.
By signing up to the Councils for Fair Tax Declaration, Worcester City Council will now lead by example on its own tax conduct.
The council can demand to know who owns and profits from businesses it buys from – UK and overseas – and their full financial reports.
It will also be asked to join calls for UK public procurement rules to change so councils can do more to tackle tax avoidance and award points to suppliers who demonstrate responsible tax conduct.
Coun Karen Lewing, Green Party councillor for Arboretum, brought the motion to council because she wanted to champion the positive role tax plays in society.
“I am very proud Worcester City Council has signed the Councils for Fair Tax Declaration, as the 48th council to do so. Voters from across the political spectrum want to see councils back ethical procurement and reward businesses that pay their fair share of tax,” she said.
“Aggressive tax avoidance negatively distorts local, as well as national economies and undermines the ability of responsible businesses to compete fairly, both domestically and internationally.
“This is important because the UK loses an estimated £17billion per annum in corporate tax revenues because of profit shifting alone and in the current cost of living crisis, this has an impact on the funding of vital public services including education, health and social care, which are under such intense pressure.
“It is therefore common sense councils should lead the way locally by promoting excellent tax conduct and transparency in their own affairs and encourage such behaviour from business partners,” she added.
The motion was seconded by Tom Piotrowski, Green Party Councillor for Battenhall.
“Tax contributions are a key part of the positive social and economic impact made by businesses- helping the communities in which they operate to deliver valuable public services,” he said.
“A rapidly growing number of progressive businesses publicly recognise this and not only declare what they pay in tax with pride, but link their contributions to the UN’s Sustainable Development Goals.’
Ian Pickering, a supporter of Church Action for Tax Justice in Worcester was delighted to see the motion presented by Councillor Lewing and spoke in support at the meeting.
He said: “The use of tax havens now is so widespread, by both individuals and companies, that it is all the more important to have this kind of public commitment in place.”
